Surety bonds for Arkansas — from contractor and license bonds to court, ERISA, and title bonds.
Whether a project owner, licensing board, court, or the DMV is requiring a bond, Cribb Insurance Group navigates the surety market for you — finding the right bond, placing it, and getting it to the party that's asking. We handle contract, license & permit, fidelity, court, and title bonds for businesses and individuals across Northwest Arkansas and statewide.
What a surety bond actually is.
A surety bond is a three-party guarantee. It's a promise that you (the principal) will fulfill an obligation — finish a job, follow a law, pay a tax, handle funds honestly — to a party requiring it (the obligee), backed by a surety company that stands behind that promise. If you don't perform, the surety makes the obligee whole and then looks to you to pay it back. Governments, project owners, courts, and the DMV all require bonds as proof you'll do what you're supposed to do.
Here's the part people miss: a surety bond is not insurance that protects you. It protects the obligee. You sign an indemnity agreement, so any claim the surety pays becomes a debt you owe back. That's why surety is underwritten on your credit and financial strength, not just the risk — and why having an experienced agent shop it matters. Cribb Insurance Group is an independent agency based in Bentonville, Arkansas that navigates a cumbersome surety system to find the right bond and place it fast.
What is a surety bond?
A surety bond is a three-party agreement guaranteeing that one party will meet an obligation to another. The principal (the business or person buying the bond) promises performance to the obligee (the party requiring it), and the surety backs that promise financially. Common types include contract/performance & payment bonds, contractor license bonds, license & permit bonds, court/probate bonds, fidelity/ERISA bonds, and title bonds. Unlike insurance, a bond protects the obligee, not the principal — the principal indemnifies the surety for any claim paid. Bonds are priced as a percentage of the bond amount, driven largely by the principal's credit.
Bond type finder.
Pick the kind of bond you've been asked for to see what it guarantees, how it's underwritten, and what we'll need to place it. Not sure which one applies? The party requiring it will name it — or we'll help you figure it out. This is general guidance, not an offer of a bond.
Have a letter or form telling you to get bonded? Send us the bond name, amount, and who's requiring it — we'll take it from there.
Who gets asked to be bonded.
If a government agency, project owner, court, or lender is requiring a guarantee that you'll perform or comply, you likely need a bond. These are the situations we handle most often.
Contractors & Builders
Bid, performance, and payment bonds for construction projects, plus contractor license bonds required to pull permits.
Licensed Businesses
License & permit bonds that guarantee compliance with a state law, ordinance, or regulation to keep a license active.
Auto & Motor Vehicle
Motor vehicle dealer bonds and lost/certificate-of-title bonds required by the DMV.
Courts & Estates
Probate, executor, guardian, and other fiduciary/court bonds required by a judge.
Employers & Fiduciaries
Fidelity and ERISA bonds protecting client funds or employee benefit plans from dishonesty.
Freight Brokers
The FMCSA freight broker (BMC-84) bond required to operate a licensed brokerage.
The three parties in every surety bond.
A bond isn't a two-way policy like your other insurance — it's a three-party promise. Understanding who's who explains why it's underwritten and priced the way it is.
You
The business or person buying the bond and promising to perform the obligation.
Who requires it
The government agency, project owner, court, or entity the bond protects and reports to.
Who backs it
The company that guarantees your obligation and pays the obligee if you don't — then seeks repayment from you.
What a bond does
- Guarantees you'll complete a contract, comply with a law, or handle funds honestly
- Gives the obligee financial recourse if you don't perform
- Lets you meet a licensing, bidding, or court requirement
- Signals your credibility to the party requiring it
What to understand before you sign
- A bond protects the obligee, not you — it isn't liability coverage for your business
- You sign an indemnity agreement — a paid claim becomes a debt you repay the surety
- Pricing and approval hinge on your personal credit and financials
- The bond amount (penal sum) is set by the obligee, not by you
- Larger contract bonds may require financial statements and a work-on-hand review
How surety bond pricing works.
You don't pay the full bond amount — you pay a premium, a percentage of the bond's face value, set mostly by your credit and the bond type. Many small license, permit, and title bonds are issued instantly for a low flat premium; larger contract and court bonds are underwritten more closely. These are general planning ranges.
| Bond situation | Typical premium | What drives it |
|---|---|---|
| Small license / permit / title bond | Low flat fee (often ~$100+) | Bond amount, bond type, instant-issue eligibility |
| Standard commercial bond (good credit) | ~1% – 3% of bond amount / yr | Credit, bond type, obligee requirements |
| Higher-risk or weaker-credit bond | ~5% – 15% of bond amount / yr | Credit challenges, bond risk, collateral |
| Contract / performance & payment bond | ~1% – 3% of contract value | Credit, financials, experience, work on hand |
| Freight broker (BMC-84) bond | Percentage of the $75,000 bond | Credit and financial strength |
Because approval and price hinge on credit, strong personal and business financials mean lower rates and higher bonding capacity. If your credit is a challenge, we work with markets that specialize in harder-to-place bonds.
How to get a bond in 3 steps.
Most standard bonds move quickly — often same-day — once we know exactly what's being required.
Tell us what's required
Send the bond type, bond amount, and the obligee (who's requiring it). If you have the request letter or form, even better.
We shop the surety market
As an independent agency, we match your bond and your credit profile to the right surety and confirm terms and premium.
Issue & deliver
We issue the bond and get the signed, sealed original to the party requesting it, so you can bid, license, or close.
Surety is a cumbersome system — we navigate it for you.
Bond requirements are written by whoever's asking, in their language, on their form. As an independent agency, Cribb Insurance translates the request, matches it to the right surety market, and handles the paperwork end to end.
Right bond, first time
We identify exactly which bond the obligee wants so you're not sent back to redo it — bid vs. performance, license vs. permit, and everything between.
Multiple surety markets
Standard and specialty markets — including harder-to-place and credit-challenged bonds — so you have options, not one answer.
Fast placement & delivery
Many bonds issue same-day, and we deliver the signed original to the party requiring it so your deadline holds.
Bonds plus the whole account
For contractors especially, we coordinate your bonding with your liability, workers comp, and builders risk in one place.
Surety bond FAQs.
Need a fast answer? Call (479) 286-1066 or start the bond request form.
Is a surety bond the same as insurance?
No. Insurance protects you against your own losses. A surety bond protects the party requiring it (the obligee) — if the surety pays a claim because you didn't perform, you're obligated to pay the surety back under the indemnity agreement you signed. Think of a bond as a guarantee of your obligation, not coverage for your business.
Who are the three parties in a surety bond?
The principal is you — the business or person buying the bond and promising to perform. The obligee is the party requiring the bond and protected by it, such as a government agency, project owner, or court. The surety is the company that backs your promise and pays the obligee if you fail, then seeks repayment from you.
How much does a surety bond cost?
You pay a premium — a percentage of the bond's face amount, not the full amount. Small license, permit, and title bonds often issue for a low flat fee, standard commercial bonds commonly run about 1% to 3% of the bond amount for good credit, and higher-risk or credit-challenged bonds run more. Contract bonds are typically around 1% to 3% of the contract value.
Does my credit affect getting a bond?
Yes, significantly. Surety is underwritten largely on the principal's personal credit and financial strength, because the surety is guaranteeing you'll perform. Strong credit means lower rates and higher bonding capacity. If your credit is a challenge, we work with markets that specialize in harder-to-place bonds.
What's the difference between a bid, performance, and payment bond?
These are the three main contract bonds in construction. A bid bond guarantees you'll honor your bid and enter the contract if selected. A performance bond guarantees you'll complete the project per the contract. A payment bond guarantees you'll pay your subcontractors and suppliers. Public projects often require all three.
What is a contractor license bond?
A contractor license bond is a license & permit bond that guarantees you'll operate in compliance with the licensing authority's rules, codes, and laws. Many states and municipalities require it before issuing or renewing a contractor's license, and it protects the public and the licensing body rather than the contractor.
What's a freight broker (BMC-84) bond?
The BMC-84 is a $75,000 surety bond the FMCSA requires to operate as a licensed freight broker or freight forwarder. It guarantees you'll meet your contractual and financial obligations to motor carriers and shippers. You pay a percentage of the $75,000 based on your credit and financials, not the full amount.
How fast can I get a bond?
Many standard bonds — license, permit, notary, and title bonds — can be issued the same day once we know the bond type, amount, and obligee. Larger contract and court bonds may take longer because they require financial review, but we work to place and deliver them as quickly as the underwriting allows.
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Bonding businesses & individuals across Northwest Arkansas.
Cribb Insurance Group is based in Bentonville, AR and places surety bonds throughout Bentonville, Rogers, Springdale, Fayetteville, Bella Vista, Cave Springs, Centerton, Gravette, Pea Ridge, Lowell, Siloam Springs, and across Arkansas.
Been asked to get bonded? We'll handle it.
Send us the bond type, amount, and who's requiring it. Whether it's a contract bond, a license bond, a court bond, or a title bond, Cribb Insurance can find it, place it, and get it to the party that's asking.
Cribb Insurance Group Inc · 1601 SW Regional Airport Blvd, Bentonville, AR 72713 · (479) 286-1066. Bond descriptions, cost ranges, and requirements on this page are general information only and are not an offer of a bond, a commitment to place a bond, legal advice, or a guarantee of price, approval, or eligibility. Surety bonds are underwritten individually; availability, premium, and terms depend on the surety, your credit and financials, the bond type and amount, and the obligee's requirements. A surety bond is not insurance protecting the principal and involves an indemnity obligation. Please speak with a licensed agent for advice specific to your situation.